Two new management roles and a merger of Swedish Match and Philip Morris operations in Sweden. This will be the new deal when tobacco giant PMI merges with the largest snus manufacturer in Sweden and at the same time focuses on more smoke-free products.
Since Phillip Morris bought snus manufacturer Swedish Match in April, the companies have operated in parallel. But after 1 January, a new organisation within PMI will take over the business in Sweden. The announcement PMI in a press release. The goal is to merge PMI's operations with Swedish Match, as part of the cigarette manufacturer's goal to eventually stop selling cigarettes. At least if everything goes according to plan.
"It's great to be involved in building and leading this joint organisation where we will work together with the common goal of creating a smoke-free society", said Anna Hällöv, former head of Business Unit Sweden within Swedish Match, who will now lead the new organisation.
For several years, Philip Morris International has announced the ambition of phase out cigarette sales. Instead, the multinational tobacco company wants to earn more from smoke-free products, such as e-cigs, heat-not-burn and perhaps above all different types of snus. According to PMI's CEO Jacsek Olczak shall at least 35 per cent of revenue from smoke-free alternatives to cigarettes in the near future. The company took a big step in that direction after the purchase of snus manufacturer Swedish Match became a reality in autumn 2022.
Push for more harm minimisation
As Vejpkollen previously reported, the PMI's purchase of Swedish Match received mixed reactions.
"The deal can definitely have an impact on harm minimisation around the world. This is particularly true in low- and middle-income countries where smoking is very prevalent and few alternatives are available. Snus could play an important role in these countries. And PMI is one of the few companies that has the financial muscle to change the conditions there," said Mr Muller. Harry Shapiro, the author of the reports in the series Global State of Tobacco Harm Reductionwhen the deal was finalised.
Responsibility for the international launch of snus and nicotine pouches now falls to Richard Wernemar, who previously shared responsibility for the Swedish market with Anna Hällöv.
"I am very excited to have the opportunity to move up to the global team and take on the challenge of driving the transformation journey and expanding nicotine pouches internationally" says Richard Wernemar in a press release.